Self payment of taxes? Necessary?

Does anyone know if there is a lower limit for advance payment of tax?
I noticed today that my company hasn’t been deducting tax from my salary each month. They say that I need to go to the tax office and pay it up. I asked for them just to withhold it and give me a certificate but they say that legally they can’t because I don’t get paid enough.
This strikes me as a bit strange- plus I’ve always liked the way that I paid up my tax then went at the end of every year and got a cheque back- do I really have to save up cash to go and pay the tax office? How on earth does that work? Surely they’d be better off just taking it from my pay…Is there anything else that I need to know if I have to file my tax this way? They seem totally useless here and unable to even give me basic info…
And of course now it means that I’ve not paid three months of tax from last year. Is there a time limit to pay that? Is it May too?
Anyone got any ideas?

[color=red]BIG RED FLAG.[/color]

Your company is required to withhold tax if you are a regular employee (salaried). Full stop. There is no wiggle room on this one.
I would go back to your company and ask them nicely to take care of this. When they say no, I would then ask them a bit more forcefully to take care of it, mentioning that since it is their legal obligation to do so… If they still refuse, you can rat on them to the Tax Office. The Tax Office takes a rather dim view of this sort of behavior, although Taiwan being what it is, don’t expect to see big padlocks on the office doors anytime soon…they may (or may not) be fined, but likely you will get the appropriate documents and the right tax withheld.
If you get tax forms, check the amount to make sure it’s not zero. It is a very nasty surprise to end up at the Tax Office on filing day and find you need to come up with quite a lot of money to pay withholding you were told was already withheld.

Is this a legal job? (It could be, my ex-boss “Sam” was a great one for not withholding tax, among other shady financial practices, yet I did have a visa through “Sam, Inc.”) Actually, even if it’s illegal, the Tax Office doesn’t much care – to date they still haven’t linked up Immigration and Tax, although as I’ve said before, the day that happens, you’ll see lines at the airport like never before, waiting for outgoing flights. :smiley:

[quote=“ironlady”][color=red]BIG RED FLAG.[/color]

Your company is required to withhold tax if you are a regular employee (salaried). Full stop. There is no wiggle room on this one.[/quote]

Not exactly true, though probably true for members of this web site. An employer is not required to make withholding if their salary is under a certain amount. That amount is currently around $40k/month. However, even in this case they are still required to give you a ‘non-withholding tax certificate’ showing your total income after the end of the year.

That said, employers of foreigners who have not been in Taiwan at least 6 months in one calendar year must withhold at the rate of 20%, and most users of this website will be making significantly more than the zero withholding threshold. In addition, certain non-salary income for professional services require withholding regardless of the amount paid.

Withholding is required to be paid and filed by the employer within 10 days of any payment which requires withholding. In practice though, many employers file once for the whole year.